dlawson12,
I'm not disagreeing with you and I'm not disputing that perhaps media center goes to far in protecting the content and not allowing it to be transfered to devices in the same household like portable media players and other PCs. I actually like what Tivo did. I forgot what it's called, but they give you a unique key that identifies your household. As long as you have the correct key, you can play the content. I don't know how it works with premium HD content as my last Tivo was a Series 2, though.
I'm not happy with the current situation, but I think a lot of the arguments are distored. Even with bringing up the VCR argument we have to be careful. Never in the past were we able to make perfect recordings. Standard definition is watered down and gets even more watered down if recorded on a VCR. Today you can make a perfect copy of the digital HD stream. Is that really the same that we have been doing for the past 30 years?
I don't know what the ultimate solution for this is. I don't think the current solution works, but I see why content providers want to protect their bread and butter. It will take time, but I think we will eventually find a middle ground.